tag:www.kimcovington-bankruptcylawyer.com,2013-03-21:/blog/817312019-05-23T19:20:34ZMovable Type Enterprisetag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.37445782019-05-23T19:21:34Z2019-05-23T19:20:34Z
For some Oregon residents, having money issues can be a source of embarrassment. They may think that they have somehow fallen short of those who have more money or those who have not landed on hard financial times. However, it is important to remember that financial hardships can affect anyone at any time.

Still, you may even feel some embarrassment about trying to find debt relief. After all, filing for bankruptcy is a major step. Of course, the decision to file is yours, and if you believe it could help relieve you of the overwhelming debt you have accumulated, you may want to shrug off the potential embarrassment and focus on the benefits that may wait on the other side of a successful bankruptcy case.

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Should you even consider filing?

At this point, you may wonder whether bankruptcy could actually suit your circumstances. While every bankruptcy petitioner's circumstances are different, you may benefit from this option if you are facing any of the following difficulties:

Wage garnishment

Property repossession

Home foreclosure

Constant creditor and collections calls

Risk of having your utilities turned off

If you file for bankruptcy, an automatic stay goes into effect that causes these actions to stop. As a result, some of the daunting pressures you may feel could be immediately lifted.

What about your credit score?

The effects bankruptcy can have on credit scores is a major concern individuals have when considering this debt relief option. Certainly, bankruptcy can cause your score to take a hit, but after successful completion of your case, you can begin working to rebuild your credit. Depending on the actions you take and the effort you put into improving your score, you could see significant improvements over time.

Additionally, it is important to remember that if you have fallen behind on bill payments or stopped paying entirely, it is likely that your credit score has already suffered. As a result, you may want to consider how bankruptcy could give you the opportunity to improve later rather than focusing on the potential decrease to your score it could cause now.

Who could you ask for help?

The bankruptcy process can be a difficult one to complete, and fortunately, you do not have to struggle through the legal proceedings alone. Enlisting the help of a bankruptcy attorney could prove useful to you in understanding your options, the process involved and how a successful case could affect your financial affairs.

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tag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.37348732019-05-14T20:54:19Z2019-05-14T20:53:19Z
People in Oregon who are struggling with student debt might have the opportunity to discharge that debt in bankruptcy if a bill introduced in Congress is successful. The Student Borrower Bankruptcy Relief Act of 2019 has the support of one Independent, one Republican and 14 Democrats.

Student loan debt has become a serious problem. It is anticipated that by 2022, the total unpaid balance will be $2 billion. Over 25 percent of people with student loan debt are delinquent or in default. However, it has not always been so difficult to discharge student loans in bankruptcy. In the 1970s, a law was passed that required students to repay for five years before filing for bankruptcy. Two more years were added to the waiting period in 1990. In the late 1990s, the law was changed again. The new rule was that student loans could only be discharged in bankruptcy if repaying them caused "undue hardship".

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One problem with "undue hardship" is that there is no clear definition of it, and interpretations of it can vary widely. The bill has support from consumer advocates although opponents have voiced concern that it would result in a large surge in bankruptcy filings.

Even if a person cannot discharge student loans in bankruptcy, other debts, such as medical and credit card, are usually dischargeable. This can free up money to pay down student loans. Additional debts that usually cannot be discharged in bankruptcy include child support, alimony, and taxes. A Chapter 7 bankruptcy still allows a person to keep some assets, and it is possible to start rebuilding credit after declaring bankruptcy. There are eligibility requirements that an attorney can outline.

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tag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.37219392019-05-01T16:24:37Z2019-05-01T16:23:37Z
Lots of Oregon residents are struggling with debts they are unable to repay. While personal bankruptcy may provide an option for debt relief, many are wary of taking the hit to their credit reports that come with the option. However, these debtors may still begin to suffer serious credit damage, especially if late payments or unpaid bills begin to rack up. This means that debt-resolving bankruptcy can actually improve some people's credit scores in the long run.

The impact of bankruptcy on a credit score varies and changes over time. While a Chapter 7 bankruptcy remains on a person's credit report for 10 years, a Chapter 13 bankruptcy, which involves structured repayments, remains on a credit report for seven years. People suffering from the worst credit issues, including large unpaid bills and extensive late payments, may even find that the impact of a bankruptcy raises their credit score instantly, even if it keeps them in a lower credit bracket. In any case, a debtor can work to rebuild their credit scores after bankruptcy and get back on the path to a solid credit rating.

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People can use personal loans, secured credit cards and instruments designed for credit repair to enhance their credit scores after bankruptcy. Adding new items with a positive payment history and limited utilization will improve credit, even relatively shortly after a bankruptcy. Within a few years after the process is completed, an individual may again find themselves eligible for a range of credit offers. They will also see declining interest rates as they develop a positive credit history.

Overwhelming debt can leave people feeling out of control of their lives and looking for a solution. A bankruptcy attorney can provide advice on the options available to help move toward a new financial future.

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tag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.37185112019-04-25T19:51:34Z2019-04-25T19:50:34Z
Medical debt is a burden for many Oregonians. In fact, past due medical bills are a leading cause of bankruptcy.

The research on the cost of healthcare is startling. Nearly all patients surveyed reported being more concerned about the bill upfront than the procedure. Healthcare insurance premiums jumped again further making affording healthcare more expensive.

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Oregon legislators sought to help this situation during the March 22 session. The w would require the state’s 58 non-profit hospitals to fully cover services for families living below 200 percent of the federal poverty line. Families earning up to 600 percent over the federal poverty line would be eligible for discounts based on their household income.

Arrange a payment plan with your healthcare provider so you can avoid your debt sent to collections and potentially having a negative mark on your credit report.

You may qualify for Medicaid if you’re an Oregon resident in a low-income household. Medicaid may help cover recent medical bills, which could greatly help alleviate your burden.

Look over your bill to make sure you understand the charges. You may find a charge for something that insurance should cover or another mistake.

What you shouldn’t do is take out credit cards to pay your medical expenses. Credit card interest rates may worsen your debt problem and prolong paying them out. The best thing you can do to manage your medical debt is to face the problem head on and communicate with your healthcare provider to discuss a manageable repayment plan. Don’t ignore the problem and hope it will go away.

Medical debt costs everyone

Medical debt has become a problem for Oregonians and Americans everywhere. The Oregon legislature has made attempts to help people just like you manage their medical expenses, but there are steps you can take to help your debt now. You don’t have to live with the burden of medical debt.

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tag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.37091232019-04-18T16:24:27Z2019-04-18T16:23:28Z
Collection agencies sometimes cross the line into harassment when they contact debtors in Oregon. Abusive language, threats or excessive telephone calls and texts can add significantly to the stress of people who have fallen behind on payments. The Fair Debt Collection Practices Act recognizes that people might need protection from creditor harassment and establishes restrictions on the actions of debt collectors.

This law applies to collection agencies, debt buyers and lawyers but not to original creditors, such as a hospital that issued the bill. Third-party collectors for car loans, medical bills, home loans or credit cards must adhere to the law that forbids unfair and deceptive collection practices. They must restrict telephone calls to between 8 a.m. and 9 p.m. Debtors do not have to tolerate calls at their places of employment, and creditors cannot discuss people's debts with their friends or relatives except for spouses.

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A debtor who wants communications to stop can make the request in writing, and the law obligates collection agencies to honor the request. Debtors also have the right to make a collector confirm the source of the unpaid debt. They must provide the creditor's name and outstanding balance.

A person who hires an attorney can insist that all communications go through the attorney's office. Legal representation might enable someone to resolve a disputed debt or prepare a debt management plan, such as a Chapter 13 bankruptcy. In this form of bankruptcy, the attorney may help the person create a manageable payment plan that lasts three to five years. After filing the financial paperwork with the court, an attorney may gain approval to halt a foreclosure or other collection action. This process might allow a person to regain control of finances instead of losing assets and falling deeper into debt.

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tag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.37051222019-04-16T16:21:34Z2019-04-16T16:20:34Z
If you work as a freelancer, you know the pride of being your own boss. You’re not alone. Freelancers Union reports over 38 percent of all workers, including over 50 percent of millennials, now work freelance jobs either on the side or as a main source of income.

The talk of the “gig economy” often misses the stress freelancing can bring, especially if expenses become harder to manage and collection calls and letters start rolling in.

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Successful people are usually people who know when to ask for help. One reason bankruptcy laws exist is to offer a legal way for people with overwhelming debts to find relief. Knowing more about your legal options might be a first step in regaining control.

Chapter 7 and Chapter 13 bankruptcies are the two types of bankruptcy that are likeliest to apply to a freelancer in the gig economy.

Although Chapter 7 is known as “liquidation” bankruptcy, filers can keep their exempt assets. When you file, an “automatic stay” immediately halts all collection efforts on the debts in question. Ultimately, the court usually discharges, or cancels, some or all your debt and you are permanently relieved of the debts.

Chapter 13 is sometimes known as “reorganization” bankruptcy. It creates an automatic stay and allows you to propose a payment plan in which you pay all or some of your debts over several years. As with Chapter 7, it has advantages and disadvantages to consider and not everyone will qualify.

If you feel you’re drowning in debt, a bankruptcy attorney can help you better understand the bankruptcy process. Most of all, talking with a professional about your debt could help revive your vision of a career as your own boss.

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tag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.36872322019-04-01T16:04:49Z2019-04-01T16:03:49Z
Patients in Oregon and across the U.S. are getting slapped with surprise medical bills despite staying within their health care network, according to an analysis by the Health Care Cost Institute. In fact, the report found that approximately 1 in 7 patients nationwide get an unexpected medical bill after seeking in-network medical care.

For the analysis, researchers examined almost 620,000 in-network inpatient admissions and subsequent claims in the District of Columbia and 37 states. They found that Minnesota had the lowest share of in-network hospital admissions that included one or more out-of-network claims, with 1.7 percent. Meanwhile, Florida had the highest share, with 26.3 percent. Oregon had a share of 4 percent. Of the various claim types, anesthesiology had the largest share of surprise out-of-network claims after in-network care, with 16.5 percent. Meanwhile, 22.1 percent of independent labs billed out of network.

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According to health care experts, health insurance designs are becoming increasingly complex and prone to surprise charges. As a result, insurers and health care systems are starting to work together to find a solution. Lawmakers are also pitching a variety of fixes for the problem. The authors of the analysis say that one solution could be to see what a state like Minnesota has done to successfully push out-of-network claims under 2 percent.

Studies have shown that medical bills are one of the top causes of financial hardship in the U.S. Individuals who are struggling to pay unexpected medical expenses could find relief by speaking with a bankruptcy attorney about their situation. The attorney could carefully review the situation and explain all legal remedies available. For example, it may be advisable for someone to file for Chapter 7 bankruptcy, which could eliminate debt, stop creditor harassment and offer a fresh financial start.

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tag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.36740362019-03-21T21:04:18Z2019-03-21T21:03:18Z
Many Oregon residents look to their employers to help them with things like health insurance and saving money for retirement. Now, some employees may be able to look to their employer to help them deal with their debt.

Many larger companies are helping their employees pay off their student loans. Others are including debt solutions as part of the benefits package they offer when they hire new employees. There are a number of approaches that are being tried, including offering interest-free loans to pay off debt. Some offer payday loans or payday advances to help struggling employees address immediate financial concerns with the goal of protecting them from the trap of payday loan institutions.

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There is a financial incentive for employers to help their employees deal with debt. A survey that was done with more than 1,600 full-time employees showed that 50 percent of them felt stressed about their finances. It has been estimated that every single year employee stress over finances is costing businesses as much as $250 billion. This is because when an employee is overly concerned about their financial situation, they have reduced productivity. The stress may lead to circumstances that could contribute to increased absenteeism.

Debt creates stress. A survey that was taken showed that 70 percent of employers felt that debt was the primary financial challenge facing their employees. Businesses are responding by offering programs to help students pay off their student loans.

If a person's level of debt reaches the point where they are considering bankruptcy, they may benefit from consulting with a bankruptcy attorney. An experienced bankruptcy attorney might be able to save their client's aggravation and money by providing assistance in filling out forms, by explaining exemption laws, and by helping their client understand the court rules that apply to filing for bankruptcy.

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tag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.36525842019-03-06T17:24:40Z2019-03-06T17:23:40Z
Young people in Oregon and across the country are facing an increasing debt burden. According to statistics from the New York Fed Consumer Credit Panel and Equifax, people between the ages of 18 and 29 owe $1.05 trillion in debt. While student loans comprise a substantial amount of this debt, other common burdens include credit card debt, auto loans, mortgages and other types of loans or consumer credit. This marks an increase in debt among this demographic, which last owed this much money in the last quarter of 2007. The trend at that time was later disrupted by the 2008 financial crisis.

Of course, young people are not alone. People between the ages of 30 and 39 owe $2.9 trillion in debt while people aged 40 to 49 owe $3.4 trillion in debt. People between 50 and 59 years of age owe $3.2 trillion, those 60 through 69 owe $2 trillion, and those 70 and up owe $1 trillion in debt. This means that the youngest and oldest Americans have approximately the same collective debt burden. Student loan debt, which has been widely recognized as a national crisis, amounts to $1.5 trillion of all personal debt, affecting 44 million people. Some expect that 40 percent of borrowers may default by 2023.

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However, unlike credit card debt and other kinds of personal debt, it can be far more difficult to escape from a student loan burden. Advocates and legislators have called for a solution as people are generally prohibited from discharging their student loans in bankruptcy.

People who are unable to pay off their credit card debt at any age may be looking for a solution to find debt relief. A bankruptcy attorney may be able to provide information on Chapter 7 and Chapter 13 personal bankruptcy as well as explain the options available for people facing significant debt.

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tag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.36416572019-02-26T21:01:34Z2019-02-27T14:38:02Z
Bankruptcy is a long and sometimes disheartening process. The benefits you reap at the end, however, are worth far more than the effort you had to put in.

Changing your lifestyle after bankruptcy doesn't have to mean sacrificing the things you love, it's simply a matter of tweaking the life you already have. Your debt is behind you, and now your focus can be on creating the financial stability you have been wishing for.

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Keep your finances on track

Remember these healthy spending and saving habits if you find yourself worrying that you may slide back into old habits.

Make a budget - It may not be glamorous but sitting down and figuring out where you want your money to go, then tracking where it is actually going, is one of the best ways to keep yourself from getting into debt. Entering your spending will also give you accountability to yourself.

Make savings automatic - Building a savings can be difficult, especially if you're in the habit of spending until your account is at zero. One option is to open a savings account at a separate bank and request that your employer do a direct deposit into it of how much you want to save each month. Your money will go into savings and you won't be tempted to access it.

Ditch the debt card - Debt cards are abstract. If you find yourself overspending with them, you may want to go to a 100% cash budget. Still have a savings account, but for money you plan to spend in a week, withdraw cash. Having physical money often gives people a tangible sense of how much and how quickly they are spending.

Consider a secured credit card - Once you get new habits under your belt you will want to start rebuilding your credit. A secured credit card is special kind of card that you back up with a cash deposit. For example, if you deposit $200, the credit card will have a $200 limit. If you miss a payment, the credit union will take the difference out of your deposit. This may be a good way to reacclimate to having a credit card.

These are only a few of the ways you can keep your finances in order after successfully completing bankruptcy. The key to financial stability is finding what good habits work best for you.

Financial security is a difficult plateau for many people to reach. Having your debt wiped away is a major accomplishment that many people fail to achieve. Seize this opportunity and embrace your new, best future.

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tag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.36311322019-02-18T17:24:54Z2019-02-18T17:23:54Z
Medical debt is a factor in about two-thirds of personal bankruptcies filed in Oregon and around the country according to a study published recently in the American Journal of Public Health. The analysis of approximately 530,000 families pushed into inescapable debt by illness or injury is seen as significant as it is the first major study of its kind conducted since the passage of the Affordable Care Act in 2010. One of the primary goals of the landmark health care bill was to reduce and prevent medical debt-related bankruptcy filings.

After scrutinizing 910 personal bankruptcies filed between 2013 and 2016, the researchers discovered that medical bills prompted 58.5 percent of the petitioners to seek debt relief. Income losses caused by an injury or illness were cited as a reason in 44.3 percent of the bankruptcy cases, and many petitions revealed that both hospital expenses and lost wages played a role.

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Some experts blame the problem on health insurance policies that use a complex web of copayments and deductibles to place an unreasonable financial burden on to consumers. Another problem with health insurance is that it is often provided by employers. Health care costs are a significant issue for many American companies, and workers with long-term and expensive medical conditions are often terminated to keep costs down.

Unfortunately, many people struggling with unmanageable financial situations do not pursue bankruptcy because of myths, rumors or misunderstandings. Attorneys with experience in this area might explain how the bankruptcy laws were drafted to offer an escape from crushing debt and not to punish individuals who may have made unwise decisions. Lawyers may also point out that filing a Chapter 7 or Chapter 13 bankruptcy petition will generate what is known as an automatic stay that puts an immediate stop to harassment from bill collectors and legal action from creditors.

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tag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.36189752019-02-08T18:04:37Z2019-02-08T18:03:37Z
Although Oregon residents enjoy a high standard of care when it comes to medical treatment, complex conditions can lead to large healthcare bills. Even people covered by medical insurance can find that an unexpected illness or injury may result in tens or hundreds of thousands of dollars in costs, possibly leading to mounting debt and collection activities from creditors. In some cases, people find themselves facing such large amounts of medical debt that they consider filing for bankruptcy.

To assist those dealing with medical debt, the St. George News provides some tips. First, it's important for individuals to understand their rights as they pertain to incurring debt, debt reporting, disputing debt and removing paid debts from credit reports. Next, individuals should have an understanding of how debt impacts the potential for future financial leverage. Although medical debt is typically not directly reported to credit agencies, this debt may be purchased by a collection agency that will then post the debt as outstanding. Outstanding debt can have an impact on everything from future mortgage decisions to personal loan interest rates.

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Finally, it is recommended that individuals who are carrying medical debt take the time to negotiate with lenders. In many cases, medical providers will be willing to set up payment plans, reduce interest and fees or settle debt for less than the full amount. Non-profit medical providers may also be able to provide financial assistance and debt relief through charitable programs that are specifically designed for those unable to pay for large procedures and treatment.

Because medical debt as it applies to personal finance and bankruptcy laws can be a complex topic, people dealing with these concerns often turn to the assistance of an attorney for help. A bankruptcy attorney may assist in filing for Chapter 7 bankruptcy protection for those unable to work or for those facing unmanageable debt due to an unexpected medical condition.

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tag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.36094832019-02-01T17:31:35Z2019-02-01T17:30:35Z
Getting into credit card debt can feel scary and intimidating, but it does not have to be this way. Sometimes the best way to handle credit card debt is not getting into it in the first place. However, this can be difficult. Unfortunately, this type of debt can be easy to get into. But there are tips you can use to avoid it.

How can you avoid debt?

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Avoiding credit card debt is not overly difficult. There are a few simple ways you can prevent yourself from falling into debt. Here are tips you can use to stay out of debt:

Build up an emergency fund

Keep card balances low

Do not transfer your balances

Do not miss your payments

Cut down on the number of credit cards you have

Pay your balance in full, every time

These tips may seem simple, but they do require effort and dedication. Unfortunately, sometimes people still get caught up and fall into debt. Sometimes, even diligent people come across unexpected expenses and can build up debt. What happens then?

What should you do if you get into debt?

Suffering from debt can be overwhelming. Falling victim to debt is not something anyone wants, but fortunately you have options. If your debt becomes unmanageable, you may want to consider filing bankruptcy. Speaking with an attorney who has experience handling bankruptcy can help you figure out your next steps.

Filing bankruptcy may feel daunting, but many people find relief after filing. It is possible to start fresh and bounce back from this time in your life.

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tag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.35898872019-01-22T18:54:18Z2019-01-22T18:53:18Z
For many people in Oregon struggling with insurmountable debt, student loans may comprise a significant portion of the overall burden. Across the country, over 44 million people collectively owe $1.5 trillion in student loan debt, forming the second-highest category of consumer debt. While home mortgages continue to take the lead, student loans outweigh credit card obligations for Americans nationwide. Despite the significant cost of student loan debt, it is one of the most difficult forms of obligation to discharge in bankruptcy.

Before 1976, it was significantly easier to include educational debt in a bankruptcy filing. A series of legal changes made it progressively harder to do so, and in 2005, Congress included private student loans in an exemption from bankruptcy relief. Nevertheless, some people still seek to discharge this debt in bankruptcy, even if there is a high burden to meet in order to do so. Most bankruptcy courts use a common test to determine whether a borrower is suffering undue hardship, the exceptional scenario in which Congress allows debt relief for student loans.

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Courts look to see if the borrower has some type of unusual or extenuating circumstances preventing them from repaying the loan while maintaining a standard of living. Disability acquired after the education loans may present one such example. In addition, these circumstances must not be transient; they must be expected to continue in the future. In addition, the borrower should be able to show attempts to pay back the loan.

In most cases, it is very difficult to meet these standards, but some people do find success in discharging their student loans. For people struggling with other kinds of debt, including credit cards and medical bills, Chapter 7 bankruptcy might provide significant relief. A bankruptcy attorney may help people understand the law and take action to seek debt relief.

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tag:www.kimcovington-bankruptcylawyer.com,2019:/blog//81731.35747112019-01-09T17:24:22Z2019-01-09T17:23:22Z
In Oregon and throughout the country, older Americans are filing for bankruptcy at a higher rate than their younger counterparts. Part of the reason is that government benefit programs such as Social Security are replacing a lower portion of a worker's income after retirement. At the same time, health care costs are going up, which can further strain the finances of someone 65 or older.

It has been noted that the age group most likely to seek bankruptcy protection today has also been most likely to seek such protection in the past. According to the Consumer Bankruptcy Project, the age group with the highest level of bankruptcy filings in 1991 was between the ages of 25 and 44. Between 2013 and 2016, those same individuals were in the age group most likely to to do so. At that time, they were between the ages of 45 and 64.

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However, a variety of other factors could have contributed to older Americans filing for bankruptcy in higher numbers than other age groups. For instance, the lack of defined pension plans put their retirement savings at the mercy of an investment fund's performance. In some cases, those who received benefits from a pension or from the government lacked other savings accounts to help them cover expenses as they aged.

Those who are looking to reclaim control of their finances might want to consider filing for Chapter 13 bankruptcy. This action could put an end to creditor calls, lawsuits or attempts to foreclose on a home. In a Chapter 13 case, debts are repaid over either three or five years. Balances remaining at the end of the repayment period may be discharged.